With the announcement of many insurance companies’ third quarter results, it appears that insurance premiums will be on the rise, or at least not reduced, in 2012. Companies and individuals who have had significant losses or many small losses may anticipate an increase in premiums or in some cases maybe even a cancellation notice.
 
Travelers Insurance Company announced last month an 85% decline in earnings, as a result of natural weather losses and reduced stock market returns.

Many insurance companies are experiencing significant increases in losses, resulting in their "combined ratio" (premiums taken in verses claims and expenses paid out in a year) being reported significantly higher than 100%, which indicates they are paying out much more than they are taking in.
 
If you'd like to discuss the insurance market or have an indication of where your costs may be going in the near future, don't hesitate to email me or contact our office.
 

Dave Drayton has been with Lyman & Sheets since 1981, and has more than 27 years of risk management, insurance operations and sales experience. Follow Dave on Twitter @Dave_Drayton or connect with him on LinkedIn.